We live in interesting times.
There is discussion about whether the saying, “May you live in interesting times,” is a blessing or a curse.
But a slight increase in consumer confidence and some of the metrics property metrics provided by Dr Andrew Wilson suggest there could be a brighter light at the end of the property tunnel.
The effect of the corona virus crisis continues to evolve rapidly so to get an update on what the latest stats are showing us, watch this week's Property Insiders chat with Australia’s leading housing economist, Dr. Andrew Wilson, chief economist of My Housing Market
Watch as we discuss:-
After the lull created by the Easter long weekend and last Saturdays ANZAC Day weekend, vendors still seem to be coming back into the market.
However the new properties brought onto the market are still about 20% less than they were this time last year.
And remember last year market sentiment was affected by the forthcoming federal election
The increase in newly listed properties for sale lagged in Sydney and Brisbane compare to the other capital cities.
Using the beginning of March as a baseline, considering it was around that time the concerns regarding coronavirus started affecting us the property markets, asking prices of held up pretty well, with Sydney property suffering the most with a fall in asking prices of close to 2%.
Sure that there are a few new properties coming on the market for sale that buyers are still out there, and they're still motivated vendors and is the following chart shows, transaction levels still holding up well.
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Over the last month, at Metropole we have experienced more buyer enquiry than we have for a long long time.
Interestingly these tend to be investors with a long-term perspective and secure jobs, rather than home buyers.
Remember even if unemployment gets to 20%, (if we take into account the truly unemployed and underemployed) there is still up to 80% of the population with job security and clearly there are many investors with a long-term focus interested in getting into the market to take advantage of this window of opportunity.
On the other hand, we are not finding people keen to sell their properties.
Leading up to the Federal election last year, many property investors were nervous and we found many were keen to sell up before the potential proposed tax changes.
In fact we had to talk him out of making long-term decisions based on short-term factors and those who took your advice were please buy that
Of the 2000 property investors we are currently managing properties for at Metropole, while some are obviously a little nervous, none have actually asked about selling up.
I guess they see the current situation as a short-term blip that they are going to have to work their way through.
If you're wondering what will happen to property in 2020–2021 you are not alone.
You can trust the team at Metropole to provide you with direction, guidance and results.
In challenging times like we are currently experiencing you need an advisor who takes a holistic approach to your wealth creation and that's what you exactly what you get from the multi award winning team at Metropole.
If you're looking at buying your next home or investment property here's 4 ways we can help you:
- Strategic property advice. - Allow us to build a Strategic Property Plan for you and your family. Planning is bringing the future into the present so you can do something about it now! This will give you direction, results and more certainty. Click here to learn more
- Buyer's agency - As Australia's most trusted buyers’ agents we've been involved in over $3Billion worth of transactions creating wealth for our clients and we can do the same for you. Our on the ground teams in Melbourne, Sydney and Brisbane bring you years of experience and perspective - that's something money just can't buy. We'll help you find your next home or an investment grade property. Click here to learn how we can help you.
- Wealth Advisory - We can provide you with strategic tailored financial planning and wealth advice. Click here to learn more about we can help you.
- Property Management - Our stress free property management services help you maximise your property returns. Click here to find out why our clients enjoy a vacancy rate considerably below the market average, our tenants stay an average of 3 years and our properties lease 10 days faster than the market average.